1. Management 265
Introduction to E-Commerce
Nicholas A. Davis
Session Three
09/29/2009

2. Session Three
• Describe the basic consumer behavior concepts behind
internet marketing
• Identify and describe how technology supports online
marketing
• Explain how online market research is conducted
• Identify the major forms of online marketing
communications
• Discuss the ways in which a website can serve as a
marketing communications tool
• Discuss the main ethical, social and political issues raised
by e-commerce
• Explain the different forms of intellectual property and
challenges faced in protecting intellectual property rights

3. Assignments
• Read chapters 6-8
• Submit the ethical implications paper
(individual)
• Discuss article on ethical issues related to
e-commerce
• Submit case analysis (team)
• Continue to wok on e-commerce functions
paper

4. Case Analysis (Team)
• Describe which case you selected and why
you selected it.
• What did you know about the subject prior
to the assignment?
• What did you learn from the assignment?
• What are your opinions on the subject?
• Are your opinions different now than they
were previously?

5. E-commerce Function Paper
• Questions?

6. Shopping Online
• How do you shop online?
• When do you shop online?
• Where do you shop online?
• Why do you shop online?
• How long do you spend shopping at a e-
commerce site?
• Which products will you buy and not buy on the
Internet?
• What is your motivation for shopping online?

7. Class Profile
• Describe the profile of the class and
lecturer in relation to e-commerce
• Cultural information
• Social Information
• Psychological Information
• Demographic Information
• Select a product to market to the class
• Discuss an e-commerce strategy for the
product

8. Internet Marketing Concepts
• Law of one price
• Price dispersion
• Library effect
• Ubiquity
• Global reach
• Universal standards
• Richness
• Interactivity
• Information density
• Personalization/Customization
• Social technology

9. Ethical Issues in E-
Comemrce
• Identify and clearly describe the facts
• Identify the conflict or dilemma and identify
the higher order values involved
• Identify the stakeholders
• Identify the options that you can
reasonably take
• Identify the potential consequences of your
options

10. Ethical Issues in E-
Comemrce (Continued)
• The Golden Rule
• Universalism
• Slippery Slope
• Collective Utilitarian Principle
• Risk Aversion
• No Free Lunch
• The New York Times Rule
• The Social Contract Rule

11. Legal and Ethical Issues List
• On the white board, we will write down as
many legal and ethical issues as we can
• Legal
• Ethical
• What are the top three from each list?
• Identify strategies for dealing with these top
issues

12. Class Legal and Ethical
Discussion
• Page 552, Scenario #5
• Why should the firm comply or not comply
with the judicial request?
• What moral dilemmas present themselves?
• What types of value conflicts are there?
• How do you propose that society resolves
these value conflicts?

13. Ethical Implications Paper
• Share highlights from your ethical
implications paper
• Discuss your news article related to e-
commerce ethics

14. Working With web Bugs
Discussion
• Pages 375-377
• Should the government regulate web
bugs?
• Do you like the name web bugs, or does it
carry a certain negative meaning to you?
• How would you regulate web bugs?
Government, at the desktop level, self
regulating by website?

15. Digital Millennium Copyright
Act
• Makes it a crime to circumvent anti-piracy measures built
into most commercial software.
• Outlaws the manufacture, sale, or distribution of code-
cracking devices used to illegally copy software.
• Does permit the cracking of copyright protection devices,
however, to conduct encryption research, assess product
interoperability, and test computer security systems.
• Provides exemptions from anti-circumvention provisions
for nonprofit libraries, archives, and educational
institutions under certain circumstances.
• In general, limits Internet service providers from copyright
infringement liability for simply transmitting information
over the Internet.

16. Digital Millennium Copyright
Act
• Service providers, however, are expected to remove material from
users' web sites that appears to constitute copyright infringement.
• Limits liability of nonprofit institutions of higher education -- when they
serve as online service providers and under certain circumstances --
for copyright infringement by faculty members or graduate students.
• Requires that "webcasters" pay licensing fees to record companies.
• Requires that the Register of Copyrights, after consultation with
relevant parties, submit to Congress recommendations regarding
how to promote distance education through digital technologies while
"maintaining an appropriate balance between the rights of copyright
owners and the needs of users.“
• States explicitly that "[n]othing in this section shall affect rights,
remedies, limitations, or defenses to copyright infringement, including
fair use..."

17. Digital Millennium Copyright
Act
• Page 552, Exercise #3
• Make a list of the protections afforded
property owners and users of the
copyrighted material
• Does the legislation balance the interests
of owners and users appropriately
• Do you have any suggestions for
strengthening the “fair use” provision of the
legislation?

18. Additional Concerns